TEXRAIL
Pattern : Ascending Channel
What is Ascending Channel?
An ascending channel is the price action contained between upward sloping paralle lines.
We can draw trendline by connecting Higher high and higher lows to form a channel.
Support and resistance zone can be seen by connecting wicks.
Ascending channel shows uptrend of an undelying.
Breakout above Ascending channel can idicates Uptrend continuation with aggresive upper target.
Breakdown below and ascending channel can indicate a possible trend change.
Use : Channels are used commonly in technical analysis to confirm trends and identify breakouts and reversals.
How to trade ?
1. Breakouts : Trade breakout of channel.
2. Support and Resistance : Trade reversal if back from Resistance or Support.
3. Breakdown: Trade breakdown of Channel.
Trendline : Weekly Trendline Breakout - 4 December 2022
Ascending Channel Support Zone:
Successful accumulation can be seen
Ascending Channel Resistance Zone :
Tested 3 Times.
4th time boom and back in the channel.
5th time inside Resistance zone indicates Possible breakout.
Traget 1 = 60
Target 2 = 62 -63
Target 3 = 74 - 77
Target 4 = 90 + + + + + + +
How to Trade ?
1. Buy Set up - Trade Breakout : Buy above Red Ascending Channel Breakout.
2. Risky trader can buy >= 46.40
3. Inside Red lower zone sell intraday or short term with target at least 3%
Stop loss:
LONG OR BUY
1. Long term stop loss not more than 4%
2. If buy at 46.40 stop loss 44.50
3. Intraday stop loss for short not more than 1.28%.
Target For Long term buy :
Traget 1 = 60
Target 2 = 62 -63
Target 3 = 74 - 77
Target 4 = 90 + + + + + + +
Reentry criteria:
If fail or forget to enter or sl hit reenter with the same logic.
Intraday stop loss 1.28%. Long term stoploss 4%
Comment:
Target 1 hit and moving up